Demand for Compliance with European Emission Regulations… Plans to Pursue Additional Medium Engine Contracts in the Future
HD Construction Machinery is accelerating its efforts to penetrate the European portable generator market by leveraging low-emission engines.
The company announced on the 20th that it has signed a contract to supply 264 ‘G2 Engines’ (1.8-3.4L) to Grupel, the leading generator manufacturer in Portugal.
This contract is in response to the increasing demand for portable generators in Europe, driven by the need to replace outdated equipment due to the strengthening of European emission regulations.
The G2 Engine is a small engine that meets the European emission regulation Stage V, and it features a high-pressure fuel injection system of 1,800 bar and fuel efficiency improvement technology. It boasts top-level performance for its class and enhanced durability and maintenance convenience.
Over the past decade, HD Construction Machinery has supplied more than 500,000 G2 engines to North America and Europe.
The company aims to use this supply project as a stepping stone to pursue additional contracts for medium engines such as the DX05 (5L) and DX08 (7.5L).
HD Construction Machinery plans to expand its European power engine sales from the current 40 billion won to 67 billion won by 2030.
Additionally, they aim to grow their total power engine sales from 370 billion won in 2025 to over 770 billion won during the same period.
According to market research firm Mordor Intelligence, the European diesel generator market is expected to grow at an average annual rate of 4.18%, from $3.87 billion (5.7 trillion won) in 2026 to $4.74 billion (7 trillion won) by 2031.
An HD Construction Machinery representative stated, “This order is a testament to the competitiveness of the G2 Engine in the European market, where emission regulations are becoming stricter,” adding, “We plan to expand our customer base across various fields, including the generator market.”